Current Labor Indicators
- Total Unemployment: 7.5%
- College Educated Unemployment: 3.9%
- Total Job Loss/Gain: +165,000
- Temporary Penetration Rate: 1.9%
The April employment report exceeded consensus expectations with 165,000 jobs added and the unemployment rate dropping for the third month in a row. Once again, the professional and business services sector reported the largest growth with 73,000 jobs added in April. IT employment has also hit another all-time high with employment in this industry growing for the 17th consecutive month.
Meanwhile, the temporary penetration rate (the percentage of temporary workers as a percentage of the total workforce) increased to 1.967 percent – the highest so far in this cycle, breaking the previous cycle’s peak and closing in on the all-time high.
The “Flex Super-cycle” thesis also remains firmly intact as we continue to see a disproportionate percentage of new job creation added through the temporary sector. In fact, in the latest employment report, more than 20 percent of new jobs created were temporary roles.
In addition, we continue to see strong demand in permanent placement as well, as employers increasingly recognize the difficulty of attracting, and successfully recruiting top talent. Particularly, employers can expect to see continued shortages of STEM (science, technology, engineering and math) workers.
Temporary Workers on the Rise
Source: Staffing Industry Analysts